Page:United States Statutes at Large Volume 98 Part 3.djvu/180

 98 STAT. 2552

Prohibition.

PUBLIC LAW 98-525—OCT. 19, 1984

that subjects the United States or any member or former member entitled to retired or retainer pay to a penalty or liability because of this section. "(2) The Secretary concerned may not accept pay from a State for services performed in withholding State income taxes from retired or retainer pay. "(3) Any amount erroneously withheld from retired or retainer pay and paid to a State by the Secretary concerned shall be repaid by the State in accordance with regulations prescribed by the Secretary concerned. "(e) In this section: "(1) 'State' means any State, the District of Columbia, the Commonwealth of Puerto Rico, and any territory or possession of the United States. "(2) 'Secretary concerned' includes the Secretary of Health and Human Services with respect to the commissioned corps of the Public Health Service and the Secretary of Commerce with respect to the commissioned corps of the National Oceanic and Atmospheric Administration.". (b) The table of sections at the beginning of such chapter is amended by adding after the item relating to section 1044 (as added by section 651) the following new item: "1045. Voluntary withholding of State income tax from retired or retainer pay.". RECOMPUTATION OF RETIRED PAY OF CERTAIN RECALLED RETIREES

10 USC 1402 note.

Effective date.

SEC. 655. (a) Notwithstanding the second sentence of footnote 1 of the table contained in section 1402(a) of title 10, United States Code (relating to recomputation of retired pay to reflect later active duty), in the case of a member of the Armed Forces who— (1) was voluntarily called or ordered to active duty during the period beginning on October 1, 1963, and ending on September 30, 1971; (2) was at the time of such call or order entitled to retired pay or retainer pay; (3) served on such active duty under such call or order for a continuous period of at least two years; and (4) was released from such active duty before October 1, 1973, the retired or retainer pay of such member shall be recomputed, as provided in subsection (b), under the rates of basic pay in effect at the time of that release from active duty. (b) The retired or retainer pay of a member of the Armed Forces described in subsection (a) shall be the amount determined under section 1402(a) of title 10, United States Code (as modified with respect to such member by subsection (a)), and increased by the amount by which the member's retired or retainer pay would have been increased during the period beginning on the date of the member's release from active duty referred to in subsection (a)(4) and ending on the day before the day on which this section becomes effective had subsection (a) applied in the case of the member at the time of that release from active duty. (c) This section shall apply only with respect to retired pay and retainer pay payable for months beginning after September 30, 1984, or on or after the date of the enactment of this Act, whichever is later.

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